Common ownership now

Most people react with disbelief to the idea of a world community where the means of production will be democratically controlled and socially owned. Critics say that socialist society will not work, on the grounds that people are by nature greedy or selfish or lazy. Socialists must be able to demonstrate that socialism is both an efficient and highly practicable alternative to the capitalist method of organising society. We must be able to offer convincing proof from capitalism itself and also from previous social orders that it is quite within man's powers to run a system based on voluntary work and the free distribution of whatever people need and want. A study of history and the social sciences, particularly anthropology, consistently reveals that things are rarely quite as they seem. Workers are never quite as oppressed and docile as the managers and bosses hope. There’s always a hidden undercurrent of resistance.

  The modern age has seen enormous gains in productivity of labour but where are the benefits for the working population? Do factory workers or farm workers or those in building and construction work less hours after having provided for the needs of the community? Of course they don't. Despite the much predicted society of leisure workers still work long hours and productivity means they are exploited more intensely.

We can very conservatively estimate that at least half of all the workers running the capitalist system would be redundant in a sane society where work would be organised economically solely for the needs of the community. This means that, including the present millions who are unemployed, socialism would more than double the numbers of people available to do useful work. Also, these vastly increased numbers would be free to use and further develop the most advanced techniques of production. All this would add up to a huge increase in our powers of production.

At first, to solve problems, production in socialism would have to be expanded. The priority would be to ensure that every person is comfortably housed and supplied with good quality food of their choice. The construction of a safe world energy system would be another urgent project. The present great differences in the world distribution of machinery, plant and up-to-date production methods would need to be evened out. But with an adequate structure of production in place we can anticipate that in socialism, we would soon be in a position to relax in the necessary work of providing for needs.

The idea of producing enough for the community and then relaxing to enjoy many other kinds of activity which may interest people is impossible under a capitalist system. Capitalist production is not primarily about supplying needs it is about making profit and accumulating capital. It can only work with a constant market pressure to renew its capacity for sales. Under capitalism a surplus of commodities, in excess of market capacity means they cannot be sold for a profit. This can bring about recession, workers thrown out of jobs.  In socialism, with the abolition of the market, and acting with voluntary co-operation, people will produce goods and distribute them to stores without any of the barriers of buying and selling.

It  means that for the production of component parts of machinery or household goods, etc, intense production runs using automated systems could supply not just sufficient components for immediate use but also stocks for anticipated future demand. These could be distributed as and when required and this would be an economical use of production facilities which could then be either shut down until when required again or with different tooling used for other production runs. The important point being that in socialism this could happen without any of the problems and chaos that an oversupply of commodities for the market causes under capitalism.

The idea of having enough for needs and then relaxing to enjoy it is perhaps an echo of the best times had by hunters and gatherers. But this way of life was never viable for larger populations who are compelled to produce what they consume. To begin with, during the advent of farming this inevitably required a lot of hard graft, but with the enormous increase in the powers of labour since then, this is no longer necessary. We can learn other lessons from hunter/gatherers. Until recently the aborigines of Australia held the land in common and co-operated to sustain a way of life that was in balance with their environment and had lasted for at least 40,000 years. The modern world has an urgent need to imitate that example. It is not human nature to grab, grab, grab, but it is the nature of capitalism.

Socialism originally meant common ownership and production solely for use. The first group to work out clearly the essential features of the alternative to the competitive, profit-seeking capitalist market economy that rapidly developed around them were the followers of Robert Owen, who were also the first to coin the word "socialist". For them the alternative to capitalism lay in the organisation of the production and distribution of wealth in accordance with the principle of "from each according to their ability, to each according to their needs". They at least realised that the organisation of production and distribution on this basis necessary involved the disappearance-of-private property, buying and selling, money and prices, and the introduction of free access to goods on the basis of self-determined needs as well as the replacement of monetary calculation with calculation purely in physical terms—to match productive capacity and wants. As the Owenite journal The New Moral World, put it in 1835, "our enlarged resources for the creation of wealth" mean that "the necessity for attaching money—value to any production whatever "can be superseded and that "no money price will be known". Towards the end of the century socialist critics of capitalism saw such a system as applying on a society-wide basis, but they retained the understanding that there was no role whatsoever for market mechanisms and monetary calculation in such a socialist society.

As regards the allocation of resources and the matching of supply and demand at an aggregate level, there was, however, a general tendency to move from the idea that economic calculation would proceed in terms of value to the idea that such calculation could be conducted in purely quantitative or physical terms. This was a conviction that was largely rooted in the belief that under socialism production would be for use rather than exchange and that in such circumstances social utility, rather than exchange value, could be a direct guide as to what and how much to produce. Such production for use rather than profit involved a concern with the concrete material characteristics of needs and the means of satisfying them rather than any abstract notion of value. It involved a deliberate matching of goods with wants that did not involve or require their valuation. So-called "market socialism" is an absurd contradiction in terms. Any society which retains market mechanisms just can't be regarded as socialist, at least not without violating the original, historical meaning of the word.